Up next for Obama: A looming Democratic divide

An immediate answer may come in the entitlement debate and whether Obama and congressional Democrats will agree to any Social Security or Medicare benefit cuts to achieve deficit reduction, said a wide-ranging group of Democratic elected officials and strategists.

“In the short term that’s the flash point,” said longtime Democratic consultant Paul Begala.

But as moderate Republicans become an ever rarer breed and more centrists find a home in the Democratic coalition, the party also must reconcile exactly who they are on a broader panoply of economic issues including Wall Street regulation and public employees. As 2016 grows nearer, and their presidential hopefuls begin openly maneuvering, Democrats must decide whether they want to be principally known as the party of Rahm Emanuel or the party of Elizabeth Warren…

“The real struggle within the Democratic Party is where you stand on income inequality and whether the government needs to be a part of fixing that problem,” said Rep. Keith Ellison (D-Minn.), co-chairman of the Congressional Progressive Caucus. “The demographics that the Democratic Party must attract are the people who need responsive government.”

Moderate Democrats counter that center-versus-left formulations are outdated — while making an emphatic case for pragmatism.